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GlaxoSmithKline (GSK) Gains As Market Dips: What You Should Know
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GlaxoSmithKline (GSK - Free Report) closed the most recent trading day at $43.60, moving +0.14% from the previous trading session. This change outpaced the S&P 500's 1.94% loss on the day. At the same time, the Dow lost 1.07%, and the tech-heavy Nasdaq lost 0.39%.
Prior to today's trading, shares of the drug developer had gained 2.74% over the past month. This has lagged the Medical sector's gain of 2.88% and the S&P 500's gain of 5.72% in that time.
Wall Street will be looking for positivity from GlaxoSmithKline as it approaches its next earnings report date. On that day, GlaxoSmithKline is projected to report earnings of $0.67 per share, which would represent year-over-year growth of 8.06%. Our most recent consensus estimate is calling for quarterly revenue of $12.8 billion, up 10.89% from the year-ago period.
It is also important to note the recent changes to analyst estimates for GlaxoSmithKline. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.15% lower within the past month. GlaxoSmithKline currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, GlaxoSmithKline is holding a Forward P/E ratio of 13.36. Its industry sports an average Forward P/E of 12.57, so we one might conclude that GlaxoSmithKline is trading at a premium comparatively.
Investors should also note that GSK has a PEG ratio of 2.31 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Large Cap Pharmaceuticals industry currently had an average PEG ratio of 2.01 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 94, which puts it in the top 37% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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GlaxoSmithKline (GSK) Gains As Market Dips: What You Should Know
GlaxoSmithKline (GSK - Free Report) closed the most recent trading day at $43.60, moving +0.14% from the previous trading session. This change outpaced the S&P 500's 1.94% loss on the day. At the same time, the Dow lost 1.07%, and the tech-heavy Nasdaq lost 0.39%.
Prior to today's trading, shares of the drug developer had gained 2.74% over the past month. This has lagged the Medical sector's gain of 2.88% and the S&P 500's gain of 5.72% in that time.
Wall Street will be looking for positivity from GlaxoSmithKline as it approaches its next earnings report date. On that day, GlaxoSmithKline is projected to report earnings of $0.67 per share, which would represent year-over-year growth of 8.06%. Our most recent consensus estimate is calling for quarterly revenue of $12.8 billion, up 10.89% from the year-ago period.
It is also important to note the recent changes to analyst estimates for GlaxoSmithKline. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.15% lower within the past month. GlaxoSmithKline currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, GlaxoSmithKline is holding a Forward P/E ratio of 13.36. Its industry sports an average Forward P/E of 12.57, so we one might conclude that GlaxoSmithKline is trading at a premium comparatively.
Investors should also note that GSK has a PEG ratio of 2.31 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Large Cap Pharmaceuticals industry currently had an average PEG ratio of 2.01 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 94, which puts it in the top 37% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.